Singa Plastics is a Singapore-based manufacturer and exporter of plastic houseware, industrial packaging, storage, hospitality and sanitary products. With the help IE Singapore's consultants, Singa Plastics Ltd learnt that it can enjoy preferential rates under the ASEAN Free Trade Area (AFTA) and Singapore-Australia Free Trade Agreement (SAFTA).

As a testimony that FTAs do increase the price competitiveness of Singapore goods, Singa Plastics has saved their ASEAN importers S$15,170 and Australian importers S$8,870.The company is optimistic that with increased export competitiveness, it expects sales to ASEAN and Australia to increased by 20% and 10% respectively.

'The Asean-Korea FTA made a difference,' says Mr Niwa. 'After the Asean-Korea FTA, we have expanded business opportunity further.'

Singa Plastics is a Singapore-based manufacturer and exporter of plastic houseware, industrial packaging, storage, hospitality and sanitary products. With the help of IE Singapore's consultants, Singa Plastics Ltd learnt that it can enjoy preferential rates under the ASEAN Free Trade Area (AFTA) and Singapore-Australia Free Trade Agreement (SAFTA).

As a testimony that FTAs do increase the price competitiveness of Singapore goods, Singa Plastics has saved their ASEAN importers S$15,170 and Australian importers S$8,870.The company is optimistic that with increased export competitiveness, it expects sales to ASEAN and Australia to increased by 20% and 10% respectively.

This is a prime example of how the Korean-Singapore Free Trade Agreement (KSFTA) has benefited Singapore companies by raising the price competitiveness of Singapore goods.

Aalst Chocolate Pte Ltd is a manufacturer of quality industrial chocolates and a supplier of ingredients to food manufacturers in over 20 countries. A key growing export market for Aalst Chocolate is South Korea, where the KSFTA has contributed to the growth of Aalst's market share.

Under the KSFTA, import duties on Aalst Chocolate's products will be systematically reduced over a period of five years starting from 2 March 2006 and eventually eliminated. The lower import duties have no doubt contributed to the price competitiveness of Aalst Chocolate's products in the Korean market. With this competitive edge, Aalst Chocolate's export revenues from South Korean have since expanded to 20% of its total export revenue from a mere 2% before the enforcement of KSFTA.

Since the enforcement of the KSFTA, Aalst Chocolate has also been receiving many enquiries from potential South Korean customers. The company attributes this to two factors: firstly, the KSFTA has forged a higher level of cooperation between the Koreans and suppliers from Singapore; and secondly, products imported to South Korea from Singapore now get to enjoy tariff savings.

To find out the tariff savings or Rule of Origin for your exports under the KSFTA, please use the Tariff Calculator, or speak with IE Singapore's FTA consultants.

The USSFTA entered into force on 1 January 2004, incorporating a 'Tariff Preference Level'(TPL) mechanism. For Bodynits International, the TPL scheme allowed its buyers - who include major global brands - to gain in tariff savings. As a result, Bodynits International's products have become more price-competitive as compared to those manufactured by companies from other countries. Without the TPL scheme, Bodynits International's synthetic fabrics garments would be subject to a duty of up to 33 percent. The company's Executive Director, Bert Tan, revealed that its exports to the US in the current financial year have increased by 13 percent over the last financial year.

The benefits of the US-Singapore Free Trade Agreement (USSFTA), which has been in force since Jan 1, 2004, are increasingly being felt by Singapore companies.

One such company is Dou Yee Enterprises, a manufacturer of electronics packaging materials. The company told BT that the scrapping of the 3 per cent import tariff for its products has made them more price competitive. Said its general manager Tham Wai Mun: "The immediate benefit is the removal of 3 per cent, and since then, we have seen increased orders from our US customers."